Are My Older Appliances Energy-Efficient?

Are high power bills driving you crazy? Did you know that energy-efficient appliances use between 20% and 50% less electricity than older types? You can significantly reduce power costs if you consider appliance energy efficiency when replacing major appliances.

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Major Appliances That Use the Most Energy

Major appliances in the home use around two-thirds of the home's total annual energy. The following data was taken from the EIA's 2023 Annual Energy Outlook and shows the percentage of energy used by each category of major appliance.

What Are the Differences Between Older Appliances and New Appliances in Terms of Energy Efficiency?

Appliance manufacturers have made tremendous progress in reducing the energy consumption of home appliances. There's hardly an appliance that hasn’t been improved in terms of energy use, practicality and functionality.

Space Heating

One-third of the home's energy goes into space heating. Old-style noncondensing gas furnaces have an annual fuel utilization efficiency (AFUE) rating of between 60% and 70%. You could reduce gas consumption by a third by switching to an Energy Star- rated condensing gas furnace with an AFUE greater than 95%.

Water Heaters

Water heating is the second-highest energy user at 13%. Many homes have standard gas or electric tank water heaters. Water heating alternatives include high-efficiency gas condensing water heaters, heat pump water heaters, solar water heaters and tankless water heaters. While more expensive, they reduce water heating costs by between 8% and 50%. According to ENERGY STAR, a heat pump water heater can save a family of four $550 a year.

Air Conditioner

Home air conditioning accounts for 12% of the home's power usage. If you replace older-style ACs with newer inverter air conditioners, you can reduce these costs by 20% to 50%.

Refrigerators

Refrigerators and freezers account for around 5% of home energy. You can net significant energy savings with a new fridge or freezer. Older units have relatively thin insulation and less efficient compressors compared to newer models. Compared to ENERGY STAR-labeled refrigerators, older refrigerators use 30% more electricity.

Laundry and Dishwashing Appliances

When grouped together, laundry and dishwashing appliances use 4.2% of household energy. You could reduce that percentage to around 3% by switching to more efficient clothes washers, clothes dryers and dishwashers. This is partly because they use a lot less water, so heating costs are lower. Newer clothes dryers have better insulation and more efficient heating. Taken together, it's possible to save at least 20% by switching to ENERGY STAR models.

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Why (And How) Are Newer Appliances More Energy-Efficient?

The main reason newer appliances are more efficient is the slow but steady tightening of energy standards set by the Department of Energy (DOE). The other reason for better appliances is the development of newer technologies that improve appliance performance and quality. These include use of heat pumps for water and space heating and the development of inverter drives in air conditioners and washing machines.

Are My Old Appliances Energy-Efficient Enough to Continue Using?

If your appliances are more than 15 years old, it's very likely they have a poor efficiency rating. Depending on age and condition, it may be time to replace them.

But much depends on their design. If you have a condensing furnace in good working order, the savings you'll get by replacing it are less than to replace an older, noncondensing furnace. The same concepts apply to other appliances.

The Case for Energy-Efficient Appliances

You'll save money by replacing old appliances with energy-efficient models. In every case, it's best to compare the cost of the unit you're buying against the savings you'll achieve. If necessary, get an expert opinion from someone you trust.